Know Your Player: Why KYC Is the New Compliance Battlefield
By Andrej Jelen, Gambling Law & Compliance Consultant
In the ever-evolving iGaming industry, compliance is no longer just about ticking boxes — it's about anticipating risk. One of the most critical areas emerging in 2025 is KYC: Know Your Customer. Or rather, Know Your Player.
The growing pressure from regulators, rising cybercrime, and an increasing focus on responsible gambling have made KYC the frontline of compliance. For operators, failing to properly verify their users doesn't just risk a fine — it can mean losing a license, a reputation, and player trust.
Why KYC Is More Than Just Identity Verification
Traditionally, KYC processes have been associated with anti-money laundering (AML). Upload your ID, verify your address, check for red flags — and you're done. But in 2025, the bar is much higher.
KYC now incorporates:
Source of funds verification
Behavioural monitoring
Real-time fraud detection
Risk scoring and segmentation
Responsible gaming markers
These aren't optional anymore. Regulatory bodies like the Malta Gaming Authority, UK Gambling Commission, and even the Slovenian FURS expect operators to implement intelligent, ongoing KYC protocols.
The Conflict: Privacy vs Protection
One of the biggest challenges in KYC is striking the right balance between privacy and protection. Players demand seamless onboarding and minimal friction. But operators are legally required to perform deeper due diligence — and justify their choices with clear audit trails.
This is where automation and AI-based KYC tools have stepped in. But here lies another problem: not all solutions are created equal. Over-reliance on third-party software without legal oversight can backfire. KYC must be an integrated, monitored, and well-documented process.
Why This Is the New Battlefield
KYC has become a battleground for several reasons:
Hefty fines are becoming common. In 2024 alone, over €40 million in fines were issued across the EU for KYC failures.
Public perception matters. Players don’t want to gamble at platforms accused of lax security or fraud.
Cross-border complexity. A player from Slovenia may fall under different KYC thresholds than one from Germany or Canada. Operators must be aware of local frameworks.
At NajboljseIgralnice.si, we’ve seen firsthand how KYC practices impact player satisfaction and trust. Casinos that make verification painful or unclear lose users fast. Those that communicate clearly and protect players’ rights build lasting loyalty.
The Future of KYC
The next frontier is proactive KYC — not just reacting to red flags but predicting and preventing issues before they occur. We’re seeing:
Real-time player profiling
Behavioural analytics that flag risky patterns
Tiered verification based on deposit history or risk level
What’s at stake is not just compliance — it’s sustainability. iGaming brands that treat KYC as a checkbox will fall behind. Those who see it as a player-first safeguard will thrive.